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Global sourcing hub feels like home (02/05/2008)

  Tesco's Christophe Roussel is amazed at the pace things get done in Hong Kong
  Tesco's Christophe Roussel is amazed at the pace things get done in Hong Kong
Frenchman Christophe Roussel has more than 17 years experience in the supply chain, direct procurement and logistics business, having worked for French retail chain Carrefour and UK's Sainsbury. Currently, as International Sourcing & Logistics Director at UK retail giant Tesco, he helped build up the Hong Kong-headquartered global sourcing network which sources for more than 3,500 Tesco stores worldwide. He says he feels lucky to be in a job he loves, a job which is his passion and makes up very much a part of his life. He has lived in Hong Kong, a place he calls home, for more than 10 years. 

'I joined Tesco in 2004 and was first based in the UK. I quickly realised that I was far away from my sourcing teams and all the suppliers and factories in the Chinese mainland and the Indian subcontinent. In this business, you need a lot of face-to-face interaction with the suppliers and unless you are located physically in the region, you can't do this effectively. So in 2005, I moved the global sourcing headquarters to Hong Kong. Tesco had a small representative office in Hong Kong for more than 30 years, and it was my primary objective to upgrade the office into a global sourcing hub and create a robust network in Asia.

I chose Hong Kong primarily because within a seven hour flight we can reach most of the factories we work with, and react much faster to sourcing demands. The place is also full of opportunities and talented people. Business is second nature to people in Asia. You witness speed at the way things are done here that is not possible anywhere else in the world. It is exciting to work with people full of such energy and enthusiasm. You get amazing things done.

Our business strategy has always been to develop strong relationships with our suppliers. We source about 60 per cent from the mainland, 20 per cent from the Indian subcontinent and the rest from Europe. We are dealing with 500 - 600 suppliers from the mainland and we source both soft and hard goods such as garments, footwear, electronic and electrical products, toys, kitchenware, stationeries, tools, home furnishing and health and beauty products.

Putting people first

At Tesco, customers are at the heart of all that we do. This is expressed through our values: no one tries harder for customers, treating people how we like to be treated. We owe our success to people: those who shop in our stores, the people who work with us, and those in our supply chain. It is important for our customers to know that everything they buy is produced to decent standards and that everyone engaged in our supply chain is treated fairly. Most companies are very transactional in nature but at Tesco, we are different: we want full transparency in our supply chain. We believe in trust, truth and transparency and we spend a lot of time developing ethical standards in our sourcing and procurement.

I have witnessed a shift in the supply chain management process over the past decade. Ten years ago, buying offices were focused merely on price. Now, my main objectives are to develop innovative, safe, fairly traded, quality products at the right cost and shipped on time. We are always on the lookout for innovation, quality, ethical standards, and minimal or zero impact on the environment. To do this, we have to develop a close relationship with our suppliers and they have become our strong business partners. They have a big share in our success.

It's fun to do business in Hong Kong. A good businessman is defined by how fast he can solve problems. Here, it is easy to do so as there are many options offered to you. Hong Kong is a strong platform for international business as we can buy from everywhere and ship to everywhere. There is great flexibility and the infrastructure is highly efficient.

Staff are more loyal these days. Ten years ago, they would switch to another company for a few hundred dollars more. Now, they understand stability and the importance of building a career within the company. Most of our staff are loyal and have been with us for some time. Obviously, one major problem is building our talent pipeline, not just in Hong Kong but in all our Tesco offices worldwide. Our people, their emotional attachment and pride for the work they do for Tesco and how well they understand our customers are our real competitive advantage. Our Hong Kong headquarters has 250 people involved mostly with procurement, product design and development, technical, IT, logistics and finance. 

Great place to live

I regard Hong Kong as my second home. It is a good place to live, and easy to keep fit. I like sailing and there's the sea near where I live. I like hiking and there are many country parks around. I also like photography and you can take wonderful pictures just walking around the streets in Hong Kong and looking at things and people. Also, being French, I like food and wine and the city has a great diversity of good quality cuisine. And with the recent wine tax waiver, you can get good wine at much cheaper prices now.

I travel a lot for my job and also with my wife for holidays. It is easy to take a short break as there are so many places to visit in the region. But we are always happy to come back to Hong Kong, a place we call home.'

Related link
Tesco and www.tescocorporate.com


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